Lam Research (NASDAQ:LRCX) Trading 2.4% Higher – Should You Buy?

Lam Research Corporation (NASDAQ:LRCX) shot up 2.4% on Monday . The stock traded as high as $166.87 and last traded at $164.30. 10,109,431 shares were traded during trading, a decline of 14% from the average session volume of 11,744,850 shares. The stock had previously closed at $160.52.

Analyst Upgrades and Downgrades

Several equities analysts have commented on the company. Jefferies Financial Group reiterated a “buy” rating and issued a $200.00 target price (up from $175.00) on shares of Lam Research in a research report on Monday. Berenberg Bank raised their price objective on shares of Lam Research from $122.00 to $165.00 and gave the company a “buy” rating in a report on Thursday, October 23rd. Rothschild & Co Redburn boosted their target price on shares of Lam Research from $140.00 to $150.00 and gave the stock a “buy” rating in a report on Tuesday, October 14th. Barclays set a $142.00 price target on shares of Lam Research and gave the company an “equal weight” rating in a research note on Monday, October 20th. Finally, Zacks Research cut shares of Lam Research from a “strong-buy” rating to a “hold” rating in a research note on Monday, November 24th. Twenty-six analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Lam Research currently has a consensus rating of “Moderate Buy” and a consensus target price of $158.54.

Lam Research Price Performance

The firm has a market cap of $194.66 billion, a P/E ratio of 34.14, a P/E/G ratio of 1.69 and a beta of 1.77. The company has a quick ratio of 1.60, a current ratio of 2.21 and a debt-to-equity ratio of 0.37. The business’s 50 day moving average is $153.29 and its two-hundred day moving average is $121.65.

Lam Research (NASDAQ:LRCX) last issued its quarterly earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 EPS for the quarter, beating analysts’ consensus estimates of $1.22 by $0.04. Lam Research had a net margin of 29.66% and a return on equity of 60.60%. The business had revenue of $5.32 billion for the quarter, compared to analysts’ expectations of $5.23 billion. During the same quarter in the prior year, the firm posted $0.86 earnings per share. The business’s quarterly revenue was up 27.7% compared to the same quarter last year. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. As a group, analysts anticipate that Lam Research Corporation will post 3.71 earnings per share for the current year.

Lam Research Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 7th. Stockholders of record on Wednesday, December 3rd will be paid a $0.26 dividend. The ex-dividend date is Wednesday, December 3rd. This represents a $1.04 annualized dividend and a dividend yield of 0.7%. Lam Research’s payout ratio is currently 22.91%.

Insider Activity at Lam Research

In other Lam Research news, SVP Vahid Vahedi sold 52,190 shares of the firm’s stock in a transaction on Monday, October 13th. The shares were sold at an average price of $138.90, for a total value of $7,249,191.00. Following the completion of the sale, the senior vice president directly owned 251,047 shares in the company, valued at approximately $34,870,428.30. This trade represents a 17.21% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Ava Harter sold 9,010 shares of the company’s stock in a transaction dated Monday, October 27th. The shares were sold at an average price of $157.47, for a total transaction of $1,418,804.70. Following the transaction, the insider owned 56,786 shares in the company, valued at $8,942,091.42. This represents a 13.69% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 102,608 shares of company stock valued at $14,916,496 in the last ninety days. Insiders own 0.31% of the company’s stock.

Institutional Investors Weigh In On Lam Research

A number of hedge funds have recently added to or reduced their stakes in the company. Gilliland Jeter Wealth Management LLC grew its stake in Lam Research by 0.3% during the third quarter. Gilliland Jeter Wealth Management LLC now owns 26,501 shares of the semiconductor company’s stock valued at $3,548,000 after acquiring an additional 69 shares in the last quarter. Gold Investment Management Ltd. boosted its holdings in Lam Research by 0.5% in the 3rd quarter. Gold Investment Management Ltd. now owns 14,736 shares of the semiconductor company’s stock valued at $1,973,000 after purchasing an additional 70 shares during the period. Hemington Wealth Management grew its position in shares of Lam Research by 4.3% during the 3rd quarter. Hemington Wealth Management now owns 1,731 shares of the semiconductor company’s stock valued at $231,000 after purchasing an additional 72 shares in the last quarter. Magnus Financial Group LLC increased its holdings in shares of Lam Research by 0.3% in the third quarter. Magnus Financial Group LLC now owns 22,838 shares of the semiconductor company’s stock worth $3,058,000 after purchasing an additional 76 shares during the period. Finally, Addison Advisors LLC increased its holdings in shares of Lam Research by 2.8% in the third quarter. Addison Advisors LLC now owns 2,857 shares of the semiconductor company’s stock worth $383,000 after purchasing an additional 77 shares during the period. Institutional investors and hedge funds own 84.61% of the company’s stock.

About Lam Research

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products.